> ## Documentation Index
> Fetch the complete documentation index at: https://docs.edel.finance/llms.txt
> Use this file to discover all available pages before exploring further.
# Step-by-Step Borrowing Guide
> Complete walkthrough of borrowing against your assets on Edel Finance with detailed safety guidelines
Follow this detailed guide to safely borrow against your crypto and tokenized stock assets. Each step includes safety tips and important information to help you manage your loan effectively.
## How to Borrow
Navigate to the Borrow tab to see your available borrowing capacity based on supplied assets.
**What you'll see:**
* Maximum borrowing amount per asset
* Current interest rates
* Your total borrowing power across all collateral
Higher-quality collateral (ETH, BTC, blue-chip stocks) gives better borrowing rates.
Choose what you want to borrow (typically USDC for spending money).
**Common choices:**
* **USDC/USDT**: For real-world expenses or opportunities
* **ETH**: For DeFi activities or trading
* **Other tokens**: For specific protocol interactions
Input how much to borrow, checking your Health Factor stays safe.
Keep initial Health Factor above 2.0 for safety. The interface shows this in real-time.
Check the loan details before confirming:
* Interest rate (APY)
* Health Factor after borrowing
* Liquidation price levels
First-time borrowers need one approval transaction before the actual borrow.
Assets appear in your wallet immediately after confirmation.
You can now use these funds while your collateral continues earning yield.
Track your position regularly through the dashboard:
* Current Health Factor
* Accrued interest
* Liquidation warnings
Set up price alerts for your collateral assets to stay ahead of market moves.
## Safety Guidelines
Before you start borrowing, make sure you understand these key safety principles:
* **Always maintain above 2.0** for optimal safety
* **Monitor daily** when between 1.5-2.0
* **Act immediately** if approaching 1.2
* **Never ignore** liquidation warnings
* **Start small** with your first loan to learn the system
* **Borrow conservatively** at 50% of your maximum capacity
* **Keep reserves** to add collateral if needed
* **Understand costs** including interest and gas fees
* **Diversify collateral** across different asset types
* **Set price alerts** for major market movements
* **Have a plan** for market downturns
* **Know liquidation levels** for all your collateral
## Next Steps
Deep dive into Health Factor calculations and safety management
Learn how liquidations work and how to protect your positions